The Oxford Handbook of Venture Capital

Edited by Douglas Cumming

Description

Venture capital (VC) refers to investments provided to early-stage, innovative, and high growth start-up companies. A common characteristic of all venture capital investments is that investee companies do not have cash flows to pay interest on debt or dividends on equity. Rather, investments are made with a view towards capital gain on exit. The most sought after exit routes are an initial public offering (IPO), where a company lists on a stock exchange for the first time, and an acquisition exit (trade sale), where the company is sold in entirety to another company. However, VCs often exit their investments by secondary sales, wherein the entrepreneur retains his or her share but the VC sells to another company or investor buybacks, where the entrepreneur repurchases the VC`s interest and write-offs (liquidations).

The Oxford Handbook of Venture Capital provides a comprehensive picture of all the issues dealing with the structure, governance, and performance of venture capital from a global perspective. The handbook comprises contributions from 55 authors currently based in 12 different countries.

The Oxford Handbook of Venture Capital

Edited by Douglas Cumming

Author Information

Douglas Cumming, JD, PhD, CFA, is a Professor of Finance and Entrepreneurship and the Ontario Research Chair at the Schulich School of Business, York University. His research is primarily focused on venture capital, private equity, IPOs, law and finance, market surveillance, and hedge funds. He has published more than seventy-five refereed papers in leading journals and is the coauthor (with Sofia Johan) of Venture Capital and Private Equity Contracting: An International Perspective. He has consulted for a variety of governmental and private organizations in Australasia, Europe, and North America.

Contributors:

Douglas Cumming, J.D., Ph.D., CFA, is a Professor of Finance and Entrepreneurship and the Ontario Research Chair at the Schulich School of Business, York University.

Alexander Groh is Associate Professor of Finance at EMLYON Business School, France.

Joern Block is assistant professor in Erasmus University Rotterdam and Technische Universität München.

Geertjan de Vries is a PhD student at Erasmus University Rotterdam.

Philipp Sandner is research fellow at Technische Universität München.

CNV Krishnan is Deborah and David Daberko Fellow and Associate Professor of Banking and Finance at Case Western Reserve University.

Ron Masulis is the Scientia Professor of Finance at the Australian School of Business, University of New South Wales.

Jennifer M. Walske is a Senior Fellow at the Lester Center for Entrepreneurship, Haas School of Business, U.C. Berkeley.

Andrew Zacharakis is the John H. Muller, Jr. Chair in Entrepreneurship at Babson College and Director of the Babson College Entrepreneurship Research Conference.

Gary Dushnitsky (Ph.D., 2004, NYU) is an Associate Professor of Strategy and Entrepreneurship at the London Business School, and a Senior Fellow at The Wharton School (University of Pennsylvania).

Joseph A. McCahery is Professor of International Economic Law at Tilburg University Faculty of Law and Program Director in Finance and Law at Duisenberg School of Finance.

Erik P.M. Vermeulen is Professor of Business Law at Tilburg University Law School in the Netherlands. He is also a Vice President at the Corporate Legal Department of Philips International B.V. in the Netherlands.

Susan Chaplinsky is the Tipton R. Snavely Professor of Business Administration at the University of Virginia's Darden Graduate School of Business.

Mariarosa Scarlata is fellow at the London School of Economics and Political Science. She holds a PhD from ESADE Business School, Spain.

Luisa Alemany is Associate Professor of Entrepreneurial Finance and the director of the ESADE Entrepreneurship Institute.

Chris Yung, Associate Professor at the McIntire School of Commerce at the University of Virginia, earned his doctorate at Washington University in St Louis.

Marina Balboa is Associate Professor of Economics at the University of Alicante, Spain.

Jose Marti is Professor of Corporate Finance at the Complutense University of Madrid.

Yong Li is Assistant Professor at the School of Management, State University of New York at Buffalo.

Sophie Manigart is full professor at Ghent University and partner at the Vlerick Leuven Gent Management School (Belgium), where she holds the Gimv Private Equity Chair.

Arnout Seghers is doctoral researcher and teaching assistant at Ghent University, where he obtained his Master degree in Business Education.

Denis Trapido is Assistant Professor of Organization and Management at the University of California, Irvine.

Dietmar Leisen is Professor of Banking at the University of Mainz, Germany.

Richard Smith holds the Philip L. Boyd Chair in Finance at the University of California, Riverside.

Ola Bengtsson is Assistant Professor of Finance at University of Illinois at Urbana Champaign.

Professor Utset is the Charles W. Ehrhardt Professor at Florida State University College of Law.

Ron Christian Antonczyk works for the Corporate Finance department of KPMG Singapore.

Wolfgang Breuer is Professor of Finance at RWTH Aachen University in Germany.

Malte Brettel is Professor of Entrepreneurship at RWTH Aachen University in Germany.

Paul Vronsky is an attorney at a Silicon Valley law firm specializing in venture capital fund formation.

Wolfgang Bessler is Professor of Finance and Banking at Justus-Liebig-University in Giessen.

Julian Holler is a research assistant and PhD student at the Center for Finance and Banking, Justus-Liebig-University in Giessen.

Martin Seim is a research assistant and PhD student at the Center for Finance and Banking, Justus-Liebig-University in Giessen.

Jan Zimmerman is a research assistant and PhD student at the Center for Finance and Banking, Justus-Liebig-University in Giessen.

Nina Yin is currently a PhD candidate at Toulouse School of Economics, France.

John R. M. Hand is the H. Allen Andrew Distinguished Professor at the University of North Carolina at Chapel Hill's Kenan-Flagler Business School.

Jess H. Chua is Professor of Finance at the Haskayne School of Business of the University of Calgary.

Zhenyu Wu is an Associate Professor at the Edwards School of Business of the University of Saskatchewan, and also holds the position of Centre for Strategic Financial Management Scholar.

Jaeho Lee is Assistant Professor, Kyung Hee University in Korea. He studied economics and management at Seoul National University, London School of Economics and University of Cambridge.

Sampsa Samila is Assistant Professor of Strategy at the School of Business at the National University of Signapore and the Faculty of Business at Brock University.

Ravi Madhavan is an Associate Professor of Business Administration at the Joseph M. Katz Graduate School of Business, University of Pittsburgh, and a faculty associate at the Center for Industry Studies.

Akie Iriyama is Assistant Professor in the School of Management at State University of New York, Buffalo.

Roman Kraeussl is Associate Professor of Finance at VU University Amsterdam and specializes in Venture Capital and Alternative Investments. He is also an adjunct Associate Professor of Finance at Emory University's Goizueta Business School, in Atlanta, and a research fellow at both the Center for Financial Studies, in Frankfurt/Main, and the Emory Center for Alternative Investments.

Stefan Krause is Senior Economist at the Monetary Policy Research Division at Banque de France, and Fellow at Sciences Po.

Na Dai is an assistant professor of finance at SUNY - Albany.

Emanuel Shachmurove, Esq. is Managing Partner of Shach Law LLC.

Dr. Yochanan Shachmurove is Professor of Economics at the City College of the City University of New York, a member of the faculty of the Ph.D Program in Economics at the Graduate Center of The City University of New York, and a member of the visiting faculty at The University of Pennsylvania.

Darek Klonowski is a Professor of Business Administration at Brandon University, who has worked in the private equity industry for over fifteen years, making investments in Central and Eastern Europe.